A recent Russell Investments and BNY Mellon Investment Management study indicates greater utilization of ESG factors in the decision-making processes of active managers, as reported by Pensions & Investments. Here are some of the highlights, as described in the article:
- 55% of respondents (total=300) say they now use material ESG investment factors to be part of the decision-making. 36% of those cited the possibility of superior risk-adjusted returns as a basis;
- Governance was the most important factor for 86% of respondents.
- An increase of 48% of respondents say they always address ESG issues in their meetings with company management.
- 82% utilize a formal investment policy to guide ESG decisions.